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Eliciting Welfare Preferences from Behavioural Data Sets

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  • Ariel Rubinstein
  • Yuval Salant

Abstract

An individual displays various preference orderings in different payoff-irrelevant circumstances. It is assumed that the variation in the observed preference orderings is the outcome of some cognitive process that distorts the underlying preferences of the individual. We introduce a framework for eliciting the individual's underlying preferences in such cases and then demonstrate it for two cognitive processes--satisficing and small assessment errors. Copyright 2012, Oxford University Press.

Suggested Citation

  • Ariel Rubinstein & Yuval Salant, 2012. "Eliciting Welfare Preferences from Behavioural Data Sets," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 79(1), pages 375-387.
    • Handle: RePEc:oup:restud:v:79:y:2012:i:1:p:375-387
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    File URL: http://hdl.handle.net/10.1093/restud/rdr024
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